Introduction
If you’re new to the world of cryptocurrency, you may be curious about how to get started. The good news is that there are many different options available at your disposal. In this beginner’s guide, we will explore some of the most common ways of buying crypto in Canada and discuss how they work so that you can determine which one might be right for you!
Where to buy Bitcoin in Canada
In Canada, where you can buy Bitcoin is a fairly straightforward process. Here are your options:
-
Peer-to-peer (P2P) exchanges like LocalBitcoins which match buyers and sellers directly and have lower fees than traditional exchanges. These sites are usually used to trade cash for Bitcoin but can also be used to trade other cryptocurrencies.
-
ATMs that let you purchase bitcoin in person. There are a couple of thousand Bitcoin ATMs in Canada, based on CoinATMRadar data. These machines are convenient if you want to quickly get some cash out of your investment or just get started with buying cryptocurrencies without having to jump through many hoops first—but they do come with higher fees
-
Traditional cryptocurrency exchanges like NDAX, Kraken, Binance and Gemini allow you to purchase and sell digital assets using fiat currency (CAD, USD etc.). These platforms generally charge fewer fees than ATMs but require more personal information, and generally require E-Transfer or bank wires to move money in and out. This can lead to longer processing times; however, once set up and funded it can be a fast way to move in and out of markets.
How do I use a Bitcoin ATM?
A Bitcoin ATM is a machine that allows you to buy and sell bitcoin.
A Bitcoin ATM works much like a standard cash-dispensing ATM, except instead of withdrawing money from your bank account, you can withdraw it in the form of cryptocurrency.
There are many different types of BTMs out there, with some acting more like vending machines while others operate more like traditional ATMs.
The process of using a BTM typically involves:
-
Enter your phone number or email for verification and important details about your transactions.
-
scan your Bitcoin or crypto wallet address. It’s important to note that not all addresses are the same. Verify that you’re not sending BTC to an ETH address and so on. Once your wallet is scanned verify the address is correct on the BTM.
-
Insert Cash; That’s all, your Bitcoin should be on its way to your wallet!
How do I use an exchange?
What is an exchange?
An exchange is a place where you can buy and sell coins. There are two main types of exchanges: centralized and decentralized.
Centralized exchanges are companies that hold your crypto for you, much like how a bank holds your money for you. All of your coins will be stored in their wallets, so this means that if the exchange gets hacked or goes bankrupt, all of your funds will be lost along with it. Decentralized exchanges (DEXes) don’t have any central authority controlling them; instead, they run on blockchain technology and have no single point of failure—if one node goes down, others keep running normally without missing a beat! This means DEXes are not as simple to use as centralized ones since they don’t offer any direct integration with the traditional financial system —you’ll need to open up either MyEtherWallet or MetaMask first before depositing funds into these platforms’. But once done correctly after depositing funds into an existing account registered on such platforms and then making sure that everything has gone through correctly, simply click “buy” when ready to purchase some coins using said methods–that’s all there is to it!
Buying Bitcoin peer-to-peer
If you want to avoid the hassle of dealing with an exchange, there’s another way: peer-to-peer trading.
Localbitcoins.com is a marketplace for people who want to buy and sell bitcoin in person in their local area. You can search for people nearby who are selling bitcoin using this site, or if you have some yourself that you want to sell, post an ad on the site and wait until someone contacts you with a price they are willing to pay for the BTC that you have listed. Localbitcoins has escrow services so that both parties can get what they agreed upon and also protects them from any disputes after the fact if one party doesn’t deliver what they promised.
There are risks involved in doing this though as well, so make sure everything goes smoothly and don’t go alone!
How do I move and store Bitcoin?
If you want to store your bitcoin safely, there are options such as hardware wallets and paper wallets, Hot wallets, and custodial wallets that allow you to store your cryptocurrency. Cold wallets or paper wallets allow you to store your crypto offline in a place that no one else has access to. This is a great way of keeping yourself safe from cyber attacks and theft by hackers.
When moving or storing bitcoins, they must be kept secure and private; otherwise, someone could steal them from you!
once you have selected the right wallet option for your needs, you will then have the ability to receive or send Bitcoin or other Cryptocurrencies into or out of your wallet. If you are wanting to fill your wallet with Bitcoin make sure to select the receive option in your wallet. This will display a QR code or wallet address that you can send to an exchange, can be used at a Bitcoin ATM or give to a peer to receive Bitcoin(Or other cryptocurrencies into your wallet). If you want to send Bitcoin to a friend or an exchange you simply click send and enter the desired address for the party that will be receiving the Bitcoin. That’s all there is to it!
What should I be aware of when buying Bitcoin?
Buying Bitcoin and other cryptocurrencies is a risky business. It’s not quite as straightforward as buying stock, and it’s not like opening a bank account. Before you dive in and buy some crypto, here are some things to know:
-
You could lose your money if the currency crashes. No one knows if Bitcoin will go up or down in price, so don’t invest more than you can afford to lose.
-
It may be hard to cash out your investment when the time comes. Once you’ve purchased your crypto from an exchange like Coinbase or Binance, it might be difficult for someone without technical skills to transfer their coins! The best way around this problem is by using cryptocurrency ATMs such as QuickBit Vending—but these aren’t available everywhere.
-
You should plan ahead before buying any cryptocurrency because there may be delays at exchanges due to high demand during peak trading hours on weekends or holidays.
What are the costs involved when buying crypto?
It can be difficult to know exactly how much you’re paying in fees. That’s because the amount varies depending on the exchange, your transaction method and its size. For example, buying Bitcoins with a bank wire at an exchange will cost you around 1% of the transaction amount in fees there may also be a larger fee for withdraws on top of the trading fees. On the other hand, buying cryptocurrency through a Bitcoin ATM will cost you 10-20% per transaction(Depending on the operator).
Buying Bitcoin and other cryptocurrencies is easy, just make sure you understand your options, fees and storage choices.
Buying Bitcoin and other cryptocurrencies is easy (and fun). Just make sure you understand your options, fees and storage choices.
Cryptocurrencies are stored in wallets that can be easily downloaded or accessed through platforms such as Exodus. A wallet contains a public address for receiving funds from other wallets or exchanges and a private key for authorizing transactions with the public address. There are many options for storing your crypto: paper wallets, hardware wallets and mobile wallets are all viable options depending on how much security you need and how often you trade.
Conclusion
With all of this information at your fingertips, it’s time to get started on your crypto journey! We hope that you enjoyed learning about Bitcoin, how it works and how you can start buying. If you have any questions or comments please reach out to us on Twitter or Facebook.
*This is NOT financial advice. It’s important to do your own research.